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3I0-012 · Question #681

When dealing with customers, financial market professionals are advised by the Model Code to clarify that all transactions are entered into solely at each partys risk by explicitly agreeing in…

The correct answer is D. All of the above. See the full explanation below for the reasoning.

Question

When dealing with customers, financial market professionals are advised by the Model Code to clarify that all transactions are entered into solely at each partys risk by explicitly agreeing in writing that:

Options

  • AThe customer understands the structure of the transaction.
  • BThe customer has made its own assessment and independent decision to enter into the transaction and
  • CNo fiduciary or advisory relationship exists between the parties, and all the information is has received is
  • DAll of the above.

How the community answered

(32 responses)
  • A
    6% (2)
  • B
    3% (1)
  • C
    16% (5)
  • D
    75% (24)

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